Century 21 Beachside and Coldwell Banker Beachside Realtors are shutting down, leaving upwards of 550 real estate agents adrift. Tom Denny, the longtime owner of both residential brokerage franchises, is retiring, he told Inman.
That means all the agents who presently hang their hats across the 10 offices maintained by the two brokerages will be looking for new workplaces, some effectively immediately, as “closings are in process” according to a spokesperson for Realogy, the parent company that owns both the Century 21 and Coldwell Banker franchise brands.
“After more than three decades in the real estate business, I have decided that it is time to retire,” Denny told Inman in a statement. “It has been an amazing journey, and my decision truly is bittersweet.”
“I have had the honor and privilege of working with the greatest agents, managers and employees in the business,” Denny added, continuing:
“Likewise, I have had the great fortune of representing the two most iconic brands – Century 21 and Coldwell Banker – in the industry … Throughout the years, Century 21 and Coldwell Banker have helped me affiliate the most outstanding agents in the world and grow my business in remarkable ways. I want to thank Century 21 and Coldwell Banker for our many years of successful partnership and their current efforts to find new homes for Beachside’s agents and employees with other amazing Century 21 and Coldwell Banker affiliates.”
Denny was the franchise owner of Century 21 Beachside Realtors for the past 35 years, according to a statement from the franchise’s executive team.
Century 21 Beachside Realtors was the 61st most productive Century 21 franchise in the country, with 922 transactions closed in 2018, according to the Real Trends 500. It ranked 615th on the Swanepoel 1000 list of top brokerages in the country by sales volume, with $494 million in sales in 2018.
Coldwell Banker Beachside Realtors was a more recent endeavor of Denny’s, but he’s been at the helm of the franchise for 16 years.
Coldwell Banker Beachside Realtors was ranked as the 150th most productive Coldwell Banker franchise, with 532 transactions closed in 2018, according to the Real Trends 500. It ranked 832 on the Swanepoel 1000 top brokerages in the country by sales volume, with $376 million in sales in 2018.
After the initial publication of the story, a spokesperson for Coldwell Banker told Inman that, as of June 5, 73 Coldwell Banker Beachside agents have already affiliated with other Coldwell Banker offices in Southern California, representing more than $117.6 million in sales volume.
Asked why Denny was choosing to close the two brokerages rather than try to sell them, the Realogy spokesperson said it was a “personal decision” and that the company would work to find new workplaces for the agents at other Realogy franchise operations.
Century 21 Masters, for example, in nearby Walnut, California has 21 offices in eastern Los Angeles County, near Century 21 Beachside Realtors’ home base in Upland, California. There are a number of smaller Coldwell Banker-affiliated brands throughout the Orange County area where Beachside Realtors operates.
The closing of the two franchises could be more bad news for parent company Realogy, which just recorded a dismal quarterly earnings statement with lower revenue than last year and has seen its stock price erode rapidly over the last few months and years. Other rival brokerages or franchises now have the opportunity to lure away some of the most productive agents from the closing Century 21 Beachside and Coldwell Banker Beachside Realtors.
Separately, earlier this month, an entire agent team jumped ship from Coldwell Banker to Compass in Western Los Angeles.
Update: Updated with information from Coldwell Banker spokesperson to note that roughly half of the Coldwell Banker Beachside agents have already found homes within the Coldwell Banker family.
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